During 20X4, the pencil corp entered into negotiations to buy Stilo company, finalling agreeing on a cash purchase price of $534,000. Pencil will acquire all assets and liabilities of Stilo effective 31 December , except for the existing cash balances of Stilo STILO COMPANY BALANCE SHEET
At 31 December 20X4
				a) Book values of Stilo Co.		b) Fair Values assigned by Pencil Corp.
Assets
Cash				$ 50,000.00		n/a
Accounts receivable (net)				$ 106,000.00		$ 108,000.00
Inventory				$ 320,000.00		$ 180,000.00
Property, plant, equipment (net)				$ 618,000.00		$ 570,000.00
Land				$ 22,000.00		$ 80,000.00
Franchise (unamortized balance)				$ 38,000.00		$ 42,000.00
Total				$ 1,154,000.00
Liabilities and shareholder's equity
Current liabilities				$ 74,000.00		$ 74,000.00
Bonds payable				$ 400,000.00		$ 400,000.00
Shareholder's equity				$ 680,000.00		n/a
Total				$ 1,154,000.00
compute the amount of goodwill purchases give the entry for pencil to record the purchase of Stilo